Despite 17% Boost in Exports, Brazil’s Trade Surplus Fell 14% in 2007

Exporta Fácil, Brazil's Easy Export program from the Post Office Brazil's trade balance ended the year of 2007 with a surplus of US$ 40 billion. The result is 13.8% lower than the surplus for 2006, which was US$ 46.4 billion. In 2007, exports reached US$ 160.6 billion and imports totaled US$ 120.6 billion. The figures were disclosed this Wednesday, January 2, by Brazil's Ministry of Development, Industry and Foreign Trade.

Despite the lower surplus than in the previous year, in 2007 exports grew 16.6% over 2006 and imports, 32%. The month of December 2007 posted a surplus of US$ 3.6 billion, with US$ 14.2 billion in exports and US$ 10.6 billion in imports.

For Getúlio Vargas Foundation's (FGV) professor Rogério Sobreira, the Brazilian economy outlook for the new year is "very favorable".

In an interview to Radio Nacional he said that, at the moment, there is a series of positive conditions.

"Investments are growing strongly, the Growth Acceleration Plan (PAC), which tends to be preserved in spite of the CPMF [Temporary Contribution on Financial Transactions] not being renewed and the government's concern in investing in infrastructure, especially in energy are  quite positive factors."

Sobreira, however, expressed concern regarding uncertainties in the international market. "The foreign scenario is still not clear,  we don't know exactly the dimension of the  crisis we are facing today".

He noted that, although Brazil exports mostly to Europe and not to the United States, where is the focus of the crisis, Europe will also feel the crisis effects. "We don't know what these effects are, how long they are going to last and how big are they."

The economist also believes that the Brazil could feel safer had its economic performance been better in recent years. Sobreira mentioned as one of the hindrances for the Brazilian economy the Central Bank's conservative approach.

"If the monetary policy  had been a little more flexible,  we would probably have had a  bigger growth rate, without a bigger inflation. Maybe not in the level of the Chinese who have been growing at a 10% rate in recent years, but for sure bigger than what we have been achieving."

ABr

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

In Brasília Assemblymen Get Busy Trying to Prevent a Federal Intervention

The assemblymen in the Federal District Legislative Assembly (CLDF) are hard at work to ...

Rio’s Holiest View

Faced with the PT’s fine standing after the first round the international press may ...

Indians from Brazil Get Land They Had for 400 Years

The homologation of Brazil’s Raposa Serra do Sol indigenous reserve last week legitimized the ...

After 7.5% Expansion Brazil Becomes World’s 7th Largest Economy

The Brazilian government announced Thursday that Brazil has become the world’s seventh economy after ...

Brazil Telecom to Offer New International Video Goodies

Brazil Telecom and Claxson launched in Brazil the Turbo Video VOD (Video on Demand) ...

Frei Betto’s Hotel Brasil: A Gripping Mystery That Will Keep You Guessing

Frei Betto (born Carlos Alberto Libânio Christo) is a well-known figure both in literary ...

After 13 Years of Debates Brazil Approves Judiciary Reform

Last night, in a second vote, the Senate approved a Judiciary Reform bill which ...

Brazil: Reporter Expulsion Is No Censorship

Brazil’s Minister of Foreign Relations, Celso Amorim, avowed he would not admit anyone condemning ...

Brazil Rewards Its Best Writers

Mongólia, a novel by Bernardo Carvalho, was one of the big winners of the ...